With revenues hit by Covid-19, the super-app has let go of 5 percent of its workforce in the «last company-wide layoff» of the year, and will focus on adapting its core businesses.
Singapore-based ride-hailing and payments firm Grab is laying off 360 employees as part of plans to become a leaner organization to better face challenges of a post-Covid economy, CEO and co-founder Anthony Tan announced in a note to employees on Tuesday morning.
Grab will be «sunsetting some non-core projects, consolidating functions for greater efficiency, and right-sizing teams to better match our changing business needs given the external environment,» the note said.
The company noted that it already reviewed all costs, cut back on discretionary spending, and implemented pay cuts for senior management in the past few months.
Finance a «Long-Term Bet»
Grab said its strategic roadmap for Grab Financial, which is a «long-term bet for the future,» remains unchanged.
«We remain laser-focused on adapting our core businesses of transport, deliveries, payments and financial services to address the challenges and opportunities of the new normal. At the same time, we will expand support for small businesses by enriching our merchant service offerings. We believe these steps will steady us on the path towards sustainability,» Tan said.
Grab Financial currently offers services in payments, rewards, lending, and insurance to micro-entrepreneurs, small business owners, driver-partners and users across Southeast Asia.
Financial Services Push
Apart from launching e-money, lending and insurance distribution on its platform, the firm has partnered Singtel in its application for a digital bank license in Singapore. It also moved into wealth management with the acquisition of Singapore-based robo-advisor Bento, which was relaunched as GrabInvest.
In February, Grab announced that Mitsubishi UFJ Financial Group (MUFG) was making a strategic investment of 80 trillion yen ($726 million) in the company. Grab said MUFG will offer a range of financial services and loans to its user base across Southeast Asia. It also received a $150 million investment from IT services firm TIS.
